U.S. stock futures traded mixed on Wednesday as investors awaited fresh inflation data and reacted to earnings and corporate announcements. Economists expect the producer price index (PPI) for August to remain at July’s pace, signaling persistent inflation pressures ahead of next week’s key Federal Reserve rate decision.
At the same time, Oracle (NYSE: ORCL) shares surged on strong revenue forecasts, while Novo Nordisk unveiled major job cuts. Oil prices also climbed on Middle East tensions and new sanctions talk targeting Russian energy.
1. U.S. stock futures steady ahead of Fed decision
By 03:38 ET (07:38 GMT), S&P 500 futures rose 0.3%, Nasdaq 100 futures gained 0.3%, and Dow futures were flat. Wall Street had posted gains in the prior session as traders bet on a Fed rate cut next week. A sharp revision in U.S. employment data suggested the labor market may have slowed even before President Donald Trump’s tariffs earlier this year.
Analysts said the data strengthened the case for Fed easing, with markets pricing in a 25-basis-point cut and a small chance of a 50-point move.
2. PPI data in focus
The August producer price index will be the first major look at inflation this week, ahead of Thursday’s consumer price report. Economists expect annualized PPI at 3.3%, unchanged from July. While sticky price gains highlight risks for the Fed’s dual mandate, analysts at ING said the numbers should not block a rate cut.
Concerns over central bank independence eased after a U.S. judge ruled Trump cannot fire Fed Governor Lisa Cook.
3. Oracle shares jump on record backlog
Oracle stock surged after-hours after the company reported a massive increase in booked revenue for its AI-powered cloud division. Remaining performance obligations (RPO) jumped 359% year-on-year to $455 billion, with management predicting several new multi-billion-dollar clients.
CEO Safra Catz highlighted partnerships with AI models such as ChatGPT and xAI’s Grok, reinforcing Oracle’s momentum in cloud services. Despite slightly mixed earnings results, analysts said RPO growth “stole the show.”
4. Novo Nordisk announces job cuts
Novo Nordisk (CSE: NOVOb) said it will cut 9,000 jobs worldwide, or 11.5% of its workforce, as part of a restructuring plan. About 5,000 jobs will be eliminated in Denmark. The maker of Wegovy and Ozempic expects annual savings of 8 billion Danish crowns ($1.27 billion) by 2026, despite one-off charges this year.
The company said savings will be reinvested into its diabetes and obesity divisions. Shares rose in Copenhagen after the announcement.
5. Oil prices climb on tensions
Oil prices rose after Israel attacked Hamas leadership in Doha, threatening regional peace talks. At 03:39 ET, Brent crude gained 0.7% to $66.86 a barrel, while WTI climbed 0.8% to $63.10.
Prices also gained on reports that Trump is pressing the EU to impose 100% tariffs on India and China for buying Russian oil. Both countries remain major buyers, providing a key revenue stream for Moscow despite Western sanctions.
Poland added to geopolitical tensions by announcing it shot down Russian drones that entered its territory during an attack on Ukraine.
